Does FreeTaxUSA calculate estimated taxes due in California?
Basically, I understand from FTB website we owe "your estimated tax based on the lesser of:
- 90% of your tax for the current tax year
- 110% of your tax for the prior tax year (including alternative minimum tax)"
By Jan of that year through withholdings + estimated tax payments.
I am wondering if FreetaxUSA computes if this is required at the time of filing? FreeTaxUSA didnt create a form 5805 for me, I found
Suggesting that you don't calculate underpayment PENALTY, but does FTUA calculate if we owe a penalty in the first place based on our withholdings → previous year/current year taxes owed? And do you also create form 5805 based on that? Or none of these features are in place?
Answers
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Thank you for joining our community, dekkiller.
I also appreciate you adding this replied conversation. At this time, FreeTaxUSA does not calculate CA state underpayment penalties or provide CA Form 5805. You will need to fill out this form yourself. We don't provide a suggestion if you owe a penalty based on your withholdings. As was suggested, we do add more forms each year and will suggest this form and feature to next filing tax year.
